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Budgetof the u.s.government

FISCAL YEAR 2022

OFFICE OF MANAGEMENT AND BUDGET

Budget

of the u.s.government

FISCAL YEAR 2022

OFFICE OF MANAGEMENT AND BUDGET

THE BUDGET DOCUMENTS

Budget of the United States Government,

Fiscal Year 2022

contains the Budget Message of the President, information on the President"s priori ties, and summary tables.

Analytical Perspectives, Budget of the United

States Government, Fiscal Year 2022

contains analyses that are designed to highlight specied subject areas or provide other signicant presenta- tions of budget data that place the budget in perspec- tive. This volume includes economic and accounting analyses, information on Federal receipts and collec- tions, analyses of Federal spending, information on Federal borrowing and debt, baseline or current ser- vices estimates, and other technical presentations.

Supplemental tables and other materials

that are part of the Analytical Perspectives vol- ume are available at https://whitehouse.gov/omb/ analytical-perspectives/

Appendix, Budget of the United States

Government, Fiscal Year 2022

contains detailed information on the various appropriations and funds that constitute the budget and is designed primarily for the use of the Appropriations Committees. The

Appendix

contains more detailed nancial infor- mation on individual programs and appropriation accounts than any of the other budget documents.

It includes for each agency: the proposed text of appropriations language; budget schedules for each account; legislative proposals; narrative explana-tions of each budget account; and proposed general

provisions applicable to the appropriations of entire agencies or group of agencies. Information is also provided on certain activities whose transactions are not part of the budget totals.

BUDGET INFORMATION

AVAILABLE ONLINE

The President"s Budget and supporting materials

are available online at https://whitehouse.gov/omb/ budget/ . This link includes electronic versions of all the budget volumes, supplemental materials that are part of the Analytical Perspectives volume, spread- sheets of many of the budget tables, and a public use budget database. This link also includes Historical

Tables

that provide data on budget receipts, outlays, surpluses or decits, Federal debt, and Federal em- ployment over an extended time period, generally from 1940 or earlier to 2022 or 2026. Also available are links to documents and materials from budgets of prior years.

For more information on access to electronic ver-

sions of the budget documents, call (202) 512-1530 in the D.C. area or toll-free (888) 293-6498. To pur- chase the printed documents call (202) 512-1800.

GENERAL NOTES

1. All years referenced for budget data are uscal years unless otherwise noted. All years referenced for economic data are

calendar years unless otherwise noted.

2. Detail in this document may not add to

the totals due to rounding. U.S. GOVERNMENT PUBLISHING OFFICE, WASHINGTON 2021

Table of Contents

The Budget Message of the President

.........................1

Confronting the Pandemic and Rescuing the Economy

Building Back Better

Delivering Results for All Americans through an Equitable, Effective, and Accountable Government ...........................29

Summary Tables

OMB Contributors to the 2022 Budget

......................63 Page 1

THE BUDGET MESSAGE OF THE PRESIDENT

TO THE CONGRESS OF THE UNITED STATES:

Where we choose to invest speaks to what we value as a Nation. This year"s Budget, the urst of my Presidency, is a statement of values that deune our Nation at its best. It is a Budget for what our economy can be, who our economy can serve, and how we can

build it back better by putting the needs, goals, ingenuity, and strength of the American people front

and center. The Budget is built around a fundamental understanding of how our econom y works and why, for

too long and for too many, it has not. It is a Budget that redects the fact that trickle-down economics

has never worked, and that the best way to grow our economy is not from the top down, but from the bottom up and the middle out. Our prosperity comes from the people who get up every day, work

hard, raise their family, pay their taxes, serve their Nation, and volunteer in their communities. If

we make that understanding our foundation, everything we build upon it will be strong. And we have already seen how that economic vision is working. When I took ofuce, America was a Nation in crisis. A once-in-a-century pandemic was raging, claiming thousands of American lives each day. A punishing economic crisis had erased 22 million jobs in just 2 months in the spring of

2020 and upended the lives of millions more. The pain these crises caused was visible not just in the

data, but in the lives of millions of Americans: Americans who faced an empty chair at the dinner table where a loved one once sat; who had to shut down the family business; who lined up for miles

in their cars waiting for a box of food to be put in the trunk; who went to bed staring at the ceiling

wondering how they would get through tomorrow. Through the American Rescue Plan, we answered the emergency and provided desperately needed relief to hundreds of millions of Americans. Immediately, the law began delivering shots in arms and checks in pockets. The American Rescue Plan is also helping schools reopen safely, helping child care centers stay

in business, and helping families pay for child care. In fact, it is providing the largest investment

in American child care since World War II. It is delivering food and nutrition assistance to millions

of Americans facing hunger. It is providing rental assistance to keep people from being evicted from their homes. It is helping small businesses and restaurants stay open or re-open. It is making healthcare more affordable. It is supporting the recovery of State and local governments. And it is putting us on track to cut child poverty in half this year.

2THE BUDGET MESSAGE OF THE PRESIDENT

With the resources provided by the American Rescue Plan, we are turning the corner on the pandemic, and powering an equitable economic recovery. In my urst 100 days in ofuce, our economy

created more than 1.5 million jobs, the most in the urst 100 days of any President on record. But more

work remains—not simply to emerge from the immediate crises we inheri ted, but to build back better. The Budget lays out the essential investments that my Administration has proposed through the American Jobs Plan and the American Families Plan. The American Jobs Plan puts millions of Americans to work to build our Nation back not just to the way it was before the pandemic, but back better. Americans will rebuild America"s transportation infrastructure, water infrastructure, and broadband connectivity infrastructure. Americans will build a clean energy future while investing in communities at risk of being left behind during our energy transition. American workers and American farmers will make unprecedented progress in our effort to tackle climate change. And, thanks to the biggest increase in non-defense research and development spending on record, Americans will boost America"s innovative edge in markets where

global leadership is up for grabs—markets like battery technology, biotechnology, computer chips, and

clean energy. Finally, the American Jobs Plan will create new and better jobs for caregiving workers who have been underpaid and undervalued for far too long. The American Families Plan addresses four of the biggest challenges facing American families today, and lays the groundwork for individual, family, community, and national success tomorrow. It

guarantees four additional years of education for every American, beginning with 2 years of universal

high-quality pre-school for every 3- and 4-year old in America, and adding 2 years of free community college. It would make college more affordable and tackle equity gaps with increased Pell grants and investments in institutions serving low-income, urst generation students, and students of color. And

it provides access to quality, affordable child care to low- and middle-income families, expanded access

to healthy meals because no child in America should be hungry or under-nourished, comprehensive paid family and medical leave, and expanded game-changing tax credits for families and workers. The Budget complements these historic plans with additional proposals to reinvest in the foundations

of our Nation"s strength—expanding economic opportunity, improving education, tackling the climate

crisis, and ensuring a strong national defense while restoring America"s place in the world. In the

1950s, our Department of Defense created a Defense Advanced Research Projects Agency (DARPA) to

enhance our national security, and DARPA"s work helped lead to the creation of the internet, Global Positioning System, and more. The Budget would create an Advanced Research Projects Agency for H ealth tasked with developing a new generation of medical breakthroughs— marshalling our Nation"s incredible scientiuc capacity to help prevent, detect, and treat diseases like cancer, diabetes, and Alzheimer"s. And it calls on the Congress to make progress on healthcare by cutting p rescription drug costs and expanding and improving the Affordable Care Act, Medicaid, and Medicare coverage. The Budget invests directly in the American people and will strengthen our Nation"s economy and improve our long-run uscal health. It reforms our broken tax code to reward work instead of wealth, while also fully paying for the American Jobs Plan and the American Families Plan over 15

years. It will help us build a recovery that is broad-based, inclusive, sustained, and strong. And it will

demonstrate to the American people that we value them and that we recognize that they are t he key to our shared prosperity; that their G overnment sees them, hears them, and is able to deliver for them again. BUDGET OF THE U. S. GOVERNMENT FOR FISCAL YEAR 20223 It will send to the world the message that I shared with a Joint Session of the Congress in April:

that America is on the move again, and that our democracy is proving it can deliver for our people and

is poised to win the competition for the 21st Century. There are many challenges ahead. But every time America has faced moments of testing, we have emerged stronger. And I believe this Budget will help us become stronger than ever. I look forward to working with the Congress to deliver on this agenda this year. JOS E P H

R. BID

E

N, JR.

THE WHITE HOUSE.

5

CONFRONTING THE PANDEMIC AND

RESCUING THE ECONOMY

America has always been deuned by the grit

and determination of its people, and our capacity to come together in common purpose at moments of great challenge. Across the generations, that spirit of resilience has seen us through war and depression, natural disasters and disease, and countless crises that have tested the Nation"s strength, persistence, and commitment to core values and to one another. For more than a year, we have confronted a conduence of challenges that have called on that resilience like never before.

Inheriting Historic Challenges

When the President took ofuce, America was

in the grips of the worst pandemic in a century and a painful economic downturn that had up- ended virtually every aspect of American life. By

January, more than 24 million Americans across

the Nation had contracted COVID-19. Infection rates and hospitalizations were soaring. More than 400,000 Americans had lost their lives and thousands were dying every single day. A more contagious variant of the virus had begun ap- pearing in communities across America.

Meanwhile, the Administration inherited a

disorganized and ineffective national vaccination effort that was struggling to get off the ground.

When the President took ofuce, only eight per-

cent of America"s seniors—and very few work- ing-age adults—had received their urst shot. At the same time, more than 10 months into the

COVID-19 pandemic, the Nation still lacked

adequate testing capacity and faced shortages of supplies like basic protective equipment for those working on the frontlines.

The broad failure to control the spread of

COVID-19 in the months before the President

took ofuce had devastating and far-reaching consequences. Millions of students and par- ents were forced to navigate the challenges of remote learning—straining countless fami- lies and disproportionately affecting Black, H ispanic, Asian, and Native American stu- dents, as well as students with disabilities and E nglish language learners. Disruptive chang- es in people"s daily lives also took a signiu- cant toll on both mental and physical health.

Medically fragile individuals and those with

chronic diseases such as hypertension, obesi- ty, and diabetes had to make the decision to either protect their health and avoid a nega- tive outcome from COVID-19, or risk losing their jobs. More Americans reported experi- encing symptoms of anxiety, overdose deaths rose, and domestic violence surged. Moreover, the COVID-19 pandemic exposed and exacer- bated deeply rooted health inequities in the

Nation and laid bare gaps and weaknesses in

America"s public health infrastructure.

As the virus tore across America, it left enor-

mous economic damage in its wake. In January, more than 10 million Americans were out of work, with a national unemployment rate of

6.3 percent. After accounting for workers who

either dropped out of the labor force or could not und full-time work, the unemployment rate was over 12 percent. More than 52 percent of

America"s unemployed had been jobless for

more than 15 weeks, a level of long-term unem- ployment unseen since the depths of the G reat

Recession. In addition, 1 in 11 Black workers

and 1 in 12 Latino workers were unemployed.

6CONFRONTING THE PANDEMIC AND RESCUING THE ECONOMY

Thousands of small businesses closed their

doors—many permanently—with many others struggling to stay adoat.

The jobs crisis was particularly severe among

women. When the President took ofuce, a stag- gering 2.5 million women had dropped out of the labor force due to the COVID-19 pandemic— many to help care for their children, with poten- tial lifetime consequences in terms of economic security. Between February 2020 and January

2021, the labor force participation rate for wom-

en dropped by 3.7 percent overall, 6.4 percent for

Black women, and 6.6 percent for

H ispanic wom- en, eviscerating more than 35 years of progress in labor force participation in just one year. The economy was hit hardest in female dominated in- dustries like retail and restaurants. On top of the job loss in those sectors, women working on the frontlines of the COVID-19 pandemic in nursing homes and hospitals—many of whom are often low-paid women of color—risked their health and scrambled to take care of their own families so they could care for others. E arly childhood and child care providers—a signiucant share of which are owned by women and people of color—have also been devastated by the COVID-19 pandemic. E stimates suggest that among child care provid- ers open at the beginning of the COVID-19 pan- demic, as of December 2020, roughly one in four were closed.

As a result of this enormous economic disrup-

tion, countless Americans who were unancially stretched even before the COVID-19 pandemic were plunged into an economic emergency. One in three households struggled to afford basic expenses. Millions of households reported not having enough to eat. Millions of Americans fell behind on their rent or mortgage payments, with more than 15 million households report- ing overdue payments when the President took ofuce. Roughly two to three million people lost employer sponsored health insurance between

March and September. Further, going into the

COVID-19 pandemic, about 30 million people

lacked coverage, limiting their access to the healthcare system when the COVID-19 pan- demic struck.

Delivering Immediate Relief: Passing

the American Rescue Plan Act of 2021

In the face of these twin public health and eco-

nomic crises, the President took immediate, bold action to deliver relief to the American people.

The President proposed and signed into law the

American Rescue Plan Act of 2021 (the American

Rescue Plan)—a historic, comprehensive pack-

age designed to help change the course of the

COVID-19 pandemic, deliver desperately need-

ed support to millions of workers, families, and small businesses, and build a bridge to a robust, equitable economic recovery.

The American Rescue Plan advanced three

critical priorities. First, it included urgently needed resources to help families and businesses weather the worst of the COVID-19 pandemic, including: $1,400 per-person rescue payments for households across America; extended unem- ployment insurance; housing and nutrition as- sistance; increased access to safe and reliable child care and affordable healthcare; historic expansions of middle class tax relief for work- ing families; a solution to the crisis in America"s multi-employer pension system; and support for hard-hit small businesses. Second, it provided vi- tal resources to help safely reopen K-8 schools in communities across the Nation and address the needs of students. Third, it provided resources to help mount an unprecedented G overnment-wide effort to defeat the COVID-19 pandemic, includ- ing funding to: set up community vaccination sites nationwide; dramatically scale up testing and tracing; eliminate supply shortage problems; support community health centers; and address health disparities.

The resources included in the American Rescue

Plan, coupled with the President"s whole-of-

G ov- ernment response, have already begun to change the course of the COVID-19 pandemic and bol- ster the economy. In a matter of months, the

Administration turned the slow-moving and un-

derperforming vaccination effort it inherited into one of the most effective vaccination systems any- where in the world. The Administration exceeded BUDGET OF THE U. S. GOVERNMENT FOR FISCAL YEAR 20227 the President"s initial goal of administering

100 million shots in his urst 100 days, ultimately

administering 220 million shots in the President"s urst 100 days in ofuce—an unprecedented nation- al mobilization. As of May 17, nearly 60 percent of American adults had received at least one shot; nearly 85 percent of all seniors had received at least one shot and nearly 73 percent were fully vaccinated; and daily deaths were down more than 80 percent since January 20.g All Americans

12 and older are now eligible for a COVID-19

vaccine. In addition, the Administration met the President"s goal to reopen a majority of K-8 schools within the urst 100 days.

As the Administration has ramped up the na-

tional COVID-19 pandemic response, the economy has started to get back on track. The President oversaw the creation of more than 1.5 million new jobs in his urst 100 days in ofuce—more than any president on record. E conomists have raised their G ross Domestic Product growth forecasts for 2021 to 6.6 percent, which would be the fast- est pace of economic growth in America in nearly four decades. Consumer conudence and spending are on the rise. Business activity is rebounding.

Moreover, the Administration is ensuring the

American Rescue Plan reaches families, commu-

nities, and small businesses. The Department of the Treasury has already delivered more than

165 million relief payments of up to $1,400 per

person. The American Rescue Plan is delivering nutrition assistance to millions of Americans fac- ing hunger, rental assistance and mortgage relief to help families stay in their homes, and loans to small businesses to help keep their doors open. It includes the largest investment in child care since

World War II, which will especially beneut wom-

en of color. It is reducing healthcare premiums, expanding access to insurance coverage, and ad- dressing persistent health disparities. It ensures that millions of American workers and retirees will receive the pensions they earned. In addition, it is projected to reduce poverty by 32 percent, lifting a total of nearly 13 million Americans out of poverty—this would mean a 38-percent drop in the Black poverty rate, a 43-percent drop in the H ispanic poverty rate, a 23-percent drop in the Asian American and Paciuc Islander poverty rate, and a 50-percent drop in the child poverty rate.

Emerging from Crises and

Focusing on the Future

While signiucant challenges remain, the

American Rescue Plan has succeeded by virtu-

ally every measure in helping address the im- mediate economic and public health crises the

Administration inherited. However, even as the

Administration makes signiucant strides to get

the Nation back on track, the President believes it is not enough to go back to the way things were before the COVID-19 pandemic struck, or to set- tle for a shrunken view of what America can be.quotesdbs_dbs44.pdfusesText_44

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